Total surplus:
A. can never fall below zero.
B. is always above zero.
C. can never be zero.
D. is less than the consumer surplus.
Answer: A
You might also like to view...
Which of the following is TRUE about the long-run aggregate supply curve?
A) It is vertical at the level of potential GDP. B) It shows the relationship between the price level and real GDP when the economy is at full employment. C) It does not shift in response to temporary changes in aggregate demand. D) All of the above are true.
Refer to Figure 1-1. Using the information in the figure above, calculate the percentage change in sales of alcoholic beverages between 2012 and 2016
A) 30% B) 50% C) 66.7% D) 100%
Open market operations are an appropriate tool for day-to-day changes in monetary policy
Indicate whether the statement is true or false
Why doesn't the marginal worker hired earn economic rent in a competitive labor market?
A) His reservation wage is less than the wage. B) His reservation wage is greater than the wage. C) His reservation wage is equal to the wage. D) He is paid a wage that is lower than the others.